Crypto: Bitmine loses $6.3 billion over the year but continues its purchases of ether

Bitmine Immersion Technologies reported a net loss of $6.31 billion for its fiscal year ended August 31, 2026, following a profit of $348.6 million a year earlier. The revaluation of its cryptoassets explains most of this loss. The group chaired by Tom Lee has, however, continued to buy ether since the closing and is getting closer to its objective of holding 5% of the circulating supply.

Bitmine recorded $6.23 billion in unrealized losses on its digital assets.

At close, its 5.9 million ETH was worth nearly $14.6 billion.

The issuance of common shares brought in gross revenue of $13.2 billion for the year.

David Schwartz, former CTO of Ripple, says he has reduced his personal positions to around 3 million XRP, 1 BTC and 6 ETH.

As of August 31, Bitmine held 5,901,837 ETH, valued at $14.56 billion, as well as 211 bitcoins. Ether therefore represented almost all of its cryptocurrency holdings. American accounting rules require the group to revaluate its cryptoassets at their fair value and to record the variations in its results. When the price falls, the company records a loss even if it keeps the tokens concerned.

The annual report puts these unrealized capital losses at $6.23 billion. It separately accounts for gains and losses realized on disposals. The group also generates income from its portfolio. Staking and validation accounted for approximately 97% of its $124.8 million in revenue for the fiscal year. Bitmine receives these rewards in ether, so their dollar value also depends on the price.

Bitmine sold 395.1 million common shares at market price during the year. The operation brought in $13.2 billion gross. Over the same period, the group also repurchased 20.8 million of its own shares for $353.8 million, or approximately $17 per share. Since the close, its ether holdings have increased to approximately 6.07 million ETH, or 4.97% of the circulating supply, according to the latest reported tally.

Personally, David Schwartz followed a different trajectory. The former Ripple CTO estimates he went from around 26 million to 3 million XRP, from 1,500 bitcoins to one, and from 40,000 ether to six. He compares his current positions to their highest levels over the years and attributes his selling to his aversion to risk. He also indicates that he still holds Ripple shares, a stake that he describes as illiquid.